A total of ~$13 million USDT was transferred from Tether’s treasury to Huobi and Kraken exchange. These transactions together are among other massive amounts of USDT that are being moved in the crypto ecosystem.

The Chinese government’s stance of Bitcoin mining raised a lot of eyebrows and caused an equal number of people to speculate what could happen if the government took the decision to ban Bitcoin mining. Some people are under the impression that this would happen, which caused Chinese users to convert their fiat into USDT, hence the massive flow of Tether into the market.

Twitter user @Whale_Alert tweeted that a total of $7.9 million USDT was transferred from Tether’s treasury to Chinese exchange, Huobi.

The recent surge of Bitcoin on April 02, 2019, caused a lot of people to speculate that there was a huge surge in the volume of stablecoins. There was an increased circulation of 200 million USDT. Paxos followed the same trend as the circulation increased by approximately 5 million, and that of USDC by 7 million.

Although just speculation, the sudden increase in stablecoin volume could be connected to the spike in Bitcoin’s price. Almost every altcoin pumps when Bitcoin pumps, suggesting a correlation and the dominance of Bitcoin over other altcoins. The sudden spike could be the cause behind a lot of retail traders trying to cash out, and when stablecoins come into the picture.

Stablecoin, Tether [USDT], has always been the center of speculation and rumor since its launch; the rumor was that Tether doesn’t have equivalent USD backings.

A Reddit user Toyake, commented:

“One is legitimate, the other is a ticking time bomb. It should be telling that usdt is still able to pump out hundreds of millions of usdt while other stablecoins can’t even scrape together 10m. That’s the difference between fraud and legitimate stablecoins.”